Great news are coming out just as I am in the middle of writing my newsletter! Here’s one fresh from Gevo and Butamax Advanced Biofuels LLC, where the two companies are entering a worldwide patent cross-license and settlement agreements, ending their patent dispute related to their bio-isobutanol production technologies. The settlement ends all of the lawsuits and creates a new relationship between the two, to leverage each other’s strengths and accelerating development of competitive supply for bio-based isobutanol.
This should be a relief to Gevo and its shareholders as the company can now focus its remaining cash to its operations and R&D.
The cross-license agreement will be royalty bearing for Butamax in certain fields and royalty bearing for Gevo in other fields. There are also a number of fields that are royalty-free for both companies. Both parties can sell up to 30 million gallons/year royalty-free into any field.
More information on the cross-licensing below:
Butamax said it will take the lead role in developing the market for isobutanol as an on-road gasoline blendstock. Gevo will lead development of the jet fuel market. Both parties will have their own biocatalyst and process technologies, and both are free to license their respective technology packages to third parties. A third party licensee would be granted a sub-license, and would be subject to terms and conditions that are consistent with the cross-license between Butamax and Gevo.
Finally, make green not war and give green a chance!